Joe Owns a Restaurant

question 63

Multiple Choice

Joe owns a restaurant. Many of the restaurants that he competes with recently closed, shifting his perceived demand curve. The following 2 tables show his old and new perceived demand curves.


Assume that Joe can only choose from the quantities of output given in the table. By how much does the price that he charges change after the restaurants leave the market?

• A) increase by 3
• B) decrease by 3
• C) increase by 4
• D) decrease by 4

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Definitions:

Indiscriminable Contingencies

These are situations where individuals cannot predict when their behavior will be reinforced, often leading to more consistent behavior.

Peer Group

A social group of individuals, often of a similar age, background, or social status, that influences an individual's attitudes and behavior.

Stimulus Generalization

The tendency for the conditioned response to be evoked by stimuli that are similar to the stimulus that was originally associated with the response.

Response Generalization

A type of generalization that occurs when behaviors change that were not specifically targeted in the original intervention program. These behaviors are usually members of the same response class as the one targeted for intervention but have not received the intervention.